By Kelly Malone

Report: Privatizing public liquor stores could mean millions in lost revenue

Dec 3, 2014 | 4:13 PM

Privatizing public liquor stores could result in millions in lost revenue for the province, according to a new report.

A Profitable Brew: A Financial Analysis of the SLGA and Its Potential Privation was released Wednesday by Parkland Institute and the left-leaning Canadian Centre for Policy Alternatives (CCPA). The report argued that “even with the existing mark-up and taxation regime in place, the government stands to lose millions in potential revenue under a privatized liquor system.”

Pointing to the four private liquor stores, two in Regina and two in Saskatoon, the report also explained that the province can expect lost revenue between $3.5 and $7.5 million each year. 

“I was quite surprised,” Saskatchewan Government Employees Union’s SLGA negotiating chair, Donna Christianson said about how large the numbers were.

“I knew that they were going to lose money because Sobeys and Co-op don’t buy a liquor store and intend to lose money. That’s a pretty high number though.”

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Christianson said that there is a movement in the province to stop privatization but she hopes the numbers from the new report will help to motivate them to be more vocal.

“As a tax payer I am going to be losing $3.5 to $7.5 million each year. Where is that money going to come from?” she asked, adding other people in the province might not understand the cost.

“They have no idea how much money we would be losing.”

Christianson said if people want to get involved to visit the website.

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On Twitter: @princealbertnow